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AMERICAN AND AMERICA WEST ANNOUNCE TALKS

 PHOENIX, Feb. 16 /PRNewswire/ -- American Airlines and America West Airlines (NASDAQ: AWAQC) today filed documents in U.S. Bankruptcy Court in Phoenix announcing that the two companies have entered into preliminary discussions and, subject to Bankruptcy Court approval, intend to exchange information regarding possible joint marketing arrangements and management services agreements.
 The documents seek court approval of an agreement which provides for the parties to exchange non-public information and conduct detailed discussions to explore American's providing support services to America West. Discussions will also explore the feasibility of joint marketing arrangements which might link the two carriers' frequent-flyer programs, coordinate selected advertising and promotional efforts or otherwise enhance the profitability of both carriers.
 The discussions do not contemplate any equity investment in America West by American. To the extent that new capital is required for America West, it would come from third-party investors.
 "In order to successfully emerge from Chapter 11, America West needs to focus on a market niche that takes advantage of our ability to provide low-cost service," said America West Airlines Chairman Bill Franke. "We hope that discussions with American will contribute to that effort.
 "Under the scenario envisioned by these discussions, America West would remain an independent, viable carrier and would utilize its own aircraft and properties," Franke said.
 The airlines said that no further comment would be forthcoming while discussions are underway until a conclusion is reached on the viability of the concepts under consideration. Any agreement between the two carriers would require Bankruptcy Court approval.
 -0- 2/16/93
 /CONTACT: Jay Thorne of America West Airlines, 602-693-5729; or Al Becker of American Airlines, 817-967-1577/
 (AWAQC AMR)


CO: America West Airlines; American Airlines ST: Arizona IN: AIR SU:

JL-LS -- LA026 -- 6952 02/16/93 16:34 EST
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Publication:PR Newswire
Date:Feb 16, 1993
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